DECEMBER 3, 2022 — COLLATERAL DAMAGE?
Approximately 200 additional employees are out of a job with the closing of the Furniture Wood, Inc. plant in Vardaman following the shutdown of United Furniture.
The owner of United Furniture Industries, David Belford, a wealthy Ohio businessman, has seemingly disappeared. Allegedly, Belford rejected the idea of filing for Chapter 11 bankruptcy.
One of the company’s lenders, Wells Fargo, noted in a statement, “Wells Fargo was saddened to learn of the abrupt shutdown of United Furniture Industries, Inc. and its affiliated companies. Once notified of the company owner’s decision, we immediately reached out to UFI’s senior leadership to address the consequences of the actions taken by the company’s owner and support its employees.”
NOVEMBER 22, 2022 — COMPANY LAYS OFF ALL 2,700 EMPLOYEES
In an overnight company memo emailed from the board of directors with no warning and no explanation…
“At the instruction of the Board of Directors of United Furniture Industries, Inc. and all subsidiaries (the “Company”), we regret to inform you that due to unforeseen business circumstances the Company has been forced to make the difficult decision to terminate the employment of all its employees, effective immediately, on Nov. 21, 2022, with the exception of over-the-road drivers that are out on delivery.
Your layoff from the Company is expected to be permanent and all benefits will be terminated immediately without provision of COBRA.
Over-the-road drivers that are out on delivery will be paid for the balance of the week. Whether or not you have completed your delivery, please immediately return equipment, inventory, and delivery documents for those deliveries that have been completed to one of the following locations: Winston-Salem, NC, Verona, MS, or Victorville, CA location. To be clear, do not complete any additional deliveries.
We regret that this difficult and unexpected situation has made this necessary. Additional information will be provided shortly. Thank you for your service and dedication. ”
AUGUST 3, 2022 — Original post…
Tupelo, Mississippi-based United Furniture Industries, a manufacturer of bonded leather and upholstered fabric recliners, reclining and stationary sofas and loveseats, sectionals, and sofa sleepers, have announced the end of production at the company's Winston-Salem, North Carolina, plant and the permanent closure of the High Point, North Carolina plant
271 employees will be impacted. The projected closing day of the High Point facility is scheduled for August 30th, 2022, which will result in the layoff of 72 employees. 199 manufacturing employees will be laid off from the Winston-Salem facility on July 29th, 2022.
The decision was driven by market conditions and inventory issues involving customers that refused to accept previously ordered and manufactured home furnishings.
According to UFI Chief Executive Officer Todd Evans, “The decisions to make these changes did not come lightly, and where it was possible, we have taken specific steps to transition affected employees to available jobs in other locations. Our industry is experiencing a drastic decrease in consumer demand. Our inventory levels remain high, and new orders from our customers remain slow."
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?
